The News International Team
12:55pm Lupin acquires Pharma Dynamics: Lupin entered into an agreement to acquire the balance 40 percent equity stake in South African generics major, Pharma Dynamics (PD) from its founders. “As per the agreement, the founders will exercise their put option before March 31, 2015, for 40 percent stake it currently holds. On completion of this transaction, PD will become a wholly owned subsidiary of Lupin,” said the company in its filing.
Pharma Dynamics’s basket of products includes SA market leaders like Amloc (hypertensive drug), Fedaloc (Nifedipine), Bilocor (Bisoprolol), Texa Allergy (Cetirizine) and Lancap (Lansoprazole).
12:45pm Asian markets Update: Asian shares drifted higher today after a downbeat session on Wall Street kept sentiment in check, while the euro recovered from a fresh 12-year low touched on the divergent monetary policy paths between the United States and the euro zone.
Oil prices continued to tumble, with US crude dropping more than 2 percent at one point to a six-year low amid oversupply fears. The International Energy Agency said on Friday that the global supply glut is growing and US production shows no sign of slowing.
US crude shed about 1.2 percent to USD 44.31 a barrel, while Brent crude lost about 0.6 percent to USD 54.32.
MSCI’s broadest index of Asia-Pacific shares outside Japan was a few ticks higher, erasing early losses and remaining above last week’s seven-week trough.
12:25pm Interview: Rajesh Shah, Co-Chairman & MD, Mukand said the new subsidiary was created so that there would be greater focus on alloy steel business, while the stainless steel and engineering business would remain with the main company, said Shah. It would be 99 percent owned subsidiary of Mukand Limited.
However, in future they would surely look at listing the company but as of now they have not yet made those plans, he added.
The company would currently focus on enlarging the business and make it a global business. He also clarified that the Rs 1590 crore transfer price was based on various assets and there was no opposition from shareholders for this transfer.
12:00pm Market Check
The market continued to be volatile amid marginal selling pressure in noon trade. The Sensex fell 36.80 points to 28466.50 and the Nifty declined 8.50 points to 8639.25. Metals, oil and FMCG stocks saw selling pressure while technology and auto stocks gained.
The BSE Midcap and Smallcap indices slipped 0.2 percent and 0.5 percent, respectively. Declining shares outnumbered advancing ones by a ratio of 1553 to 934 on the Bombay Stock Exchange.
WPI inflation came in at negative 2.06 percent in February against negative 0.39 percent in previous month due to fall in manufactured products and food prices. Fuel, power group inflation stood at negative 14.72 percent against negative 10.69 percent during the same period.
DLF climbed 3 percent as the company deferred conversion of compulsory convertible preference share for 1 year.. Also it reduced dividend coupon rate of 9 percent to 0.01 percent for extended period. Company told CNBC-TV18 that the savings from the reduced dividend coupon rate will be around Rs 175 crore.
Hindalco, JSPL and Usha Martin lost 2-4 percent as CNBC-TV18 learnt that the government will re-examine bids for five more coal blocks auctioned in schedule 3. It is also likely to skip signing agreement with the 5 coal block allottees, say sources.
Globally, Asian markets remained higher with Shanghai touching a more than five-year high on rising stimulus bet. Brent crude slipped further to USD 54 a barrel.